Chainlink (LINK) Rebounds 5% Ahead of Rewards Season Launch, Faces Short-Term Resistance

Chainlink’s native token, LINK, surged over 5% on Monday, climbing to a session high of $16.66 before easing back amid profit-taking. The rally, driven by a consistent pattern of higher lows and strong trader engagement, highlighted bullish momentum, though resistance near $16.50 signaled potential short-term exhaustion, according to CoinDesk Research’s technical analysis.

The most notable move occurred around midnight UTC, when nearly 1.82 million LINK tokens were traded — approximately 70% above the daily average — confirming a decisive breakout through the critical $16.00 threshold. This surge validated the ongoing uptrend and reinforced market confidence in LINK’s short-term prospects.

However, the bullish momentum lost steam later in the day as traders began taking profits near session highs. A wave of selling activity exceeding 60,000 tokens after 14:00 UTC pulled prices back to around $16.00, effectively capping further upside attempts.

The price action came just ahead of Chainlink’s Rewards Season 1, launching on November 11, which offers LINK stakers an opportunity to earn rewards from nine partner projects. Participants can allocate non-transferable points called Cubes to earn token incentives, potentially driving renewed interest in the network.

From a technical standpoint, LINK now faces immediate resistance at $16.50, with primary support near $16.47 after the failed breakout. The $16.51–$16.66 range defines near-term consolidation, while a breakdown below $16.47 could expose support levels at $16.30 and $16.00. Bulls are eyeing a sustained move above $16.50 to confirm continuation toward the recent high of $16.66.

Overall, LINK’s strong trading volume, upcoming staking rewards, and resilient trend structure suggest potential for renewed upside — provided buyers can reclaim control above key resistance zones.